Decision details

The Housing Portfolio Holder presented the report to Members.

He advised Members that the Government had announced that from 2015/16 new guidance on setting rent increases would be introduced and, if adopted,  this would have a downward effect on future rental income predictions. He stated that officers had looked into the possible options for the Council to approach for rent increases and these were detailed in the report and option C – Accelerated Convergence was the recommended approach. This would enable the Council to continue to invest in bringing the housing stock up to a high standard, and also result in all tenants paying the same rent for similar properties. He informed Members that under option C  the reserves would be in a position to enable  the Council  to repay its outstanding loans in seven years.

It was moved by Councillor R D Bayliss, seconded by Councillor N J Rushton and

RESOLVED THAT:

1.    The assurance statement by the S151 Officer be noted.

2.    Cabinet approves the draft HRA Budget proposal as detailed in this report, with option C as the recommend approach for rent increases and associated appendices for consultation.

Reason for decision: To enable the Council to set a balanced Housing Revenue Account Budget for 2015/16.